Tesla-SpaceX Merger Talks Advance, Deal Could Land as Soon as December
TSLA sits 34% above its 52-week low of $297.38.
Summary
Bloomberg reports merger negotiations between Tesla and SpaceX are progressing, with boards and advisers working through terms and the structure of the combined entity. A deal could be announced as soon as December, which would make it the largest corporate merger in history. This builds on Musk's October confirmation that special committees were formed to explore a combination. Tesla shares rose as much as 1.9% to $398.35 Thursday but remain down 11% year to date; SpaceX shares added 0.6% to $140.63. Tesla is the more directly affected name given its public float and the size of the transaction, though SpaceX holders face the same structural questions. Neither company commented to Bloomberg.
At the time of this announcement, TSLA was trading at $398.05 on NASDAQ in the Energy & Transportation sector, with a market capitalization of approximately $1.6T. The 52-week trading range was $297.38 to $498.83. This news item was assessed with positive market sentiment and an importance score of 8 out of 10. Source: Dow Jones Newswires.